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5 Top-Ranked S&P 500 Stocks to Buy at a Bargain: NVDA, CCL, and more
ZACKS· 2025-03-10 20:00
Market Overview - The U.S. stock market has experienced a significant decline, with a total market capitalization drop of $3.5 trillion in just 14 days, falling from $62.2 trillion to $58.7 trillion [1] - The S&P 500 index recorded its worst week since September, decreasing by 4.2% over the past month, presenting potential buying opportunities for investors [2] Investment Opportunities - Five stocks have been identified as potential buys due to their recent price declines: United Airlines (UAL), Carnival (CCL), Synchrony Financial (SYF), NVIDIA Corporation (NVDA), and Universal Health Services Inc. (UHS) [2] - These stocks possess strong Zacks Ranks (1 or 2), favorable VGM Scores (B or better), lower P/E ratios compared to industry averages, and promising estimated earnings growth rates for the current fiscal year [3] Company-Specific Insights United Airlines (UAL) - United Airlines has seen a positive earnings estimate revision of $0.10 over the past 30 days, with an estimated earnings growth rate of 22% [9] - The company has a P/E ratio of 6.40, significantly lower than the industry average of 8.80, and holds a Zacks Rank 1 with a VGM Score of B [10] Carnival Corporation (CCL) - Carnival Corporation has experienced a positive earnings estimate revision of $0.01 for the fiscal year ending November 2025, with an estimated earnings growth rate of 25.3% [11] - The company has a P/E ratio of 11.60, below the industry average of 18.62, and holds a Zacks Rank 2 with a VGM Score of A [12] Synchrony Financial (SYF) - Synchrony Financial has seen an earnings estimate revision of $0.08 for this year, with an estimated earnings growth rate of 16.5% [13] - The company has a P/E ratio of 7.13, lower than the industry average of 9.45, and holds a Zacks Rank 2 with a VGM Score of A [14] NVIDIA Corporation (NVDA) - NVIDIA has experienced a positive earnings estimate revision of $0.18 for the fiscal year ending January 2026, with an estimated earnings growth rate of 46.8% [14] - The company has a P/E ratio of 25.68, which is lower than the industry average of 30.55, and holds a Zacks Rank 2 with a VGM Score of B [15] Universal Health Services Inc. (UHS) - Universal Health Services has seen a positive earnings estimate revision of $0.23 for this year, with an estimated earnings growth rate of 7.9% [15] - The company has a P/E ratio of 9.63, compared to the industry average of 10.32, and holds a Zacks Rank 2 with a VGM Score of A [16]
Nasdaq Enters Correction: 5 Bargain Stocks in the ETF
ZACKS· 2025-03-07 16:30
Core Viewpoint - Wall Street is facing challenges due to tariff escalations and economic slowdown concerns, with the Nasdaq Composite Index entering correction territory after a 2.6% decline on March 6, down 10% from its record high on December 16 [1] Group 1: Market Overview - The Invesco QQQ ETF, a proxy for the Nasdaq, has also entered correction territory, dropping 10.8% from its recent peak, leading to significant losses for several stocks since the beginning of the year [2] - The ongoing tariff threats and retaliations are raising concerns about trade policies, which could negatively impact U.S. consumers and corporate profits, particularly for large U.S. exporters [4] - Data indicates a slowdown in the U.S. economy, with the Federal Reserve's Beige Book and the Institute for Supply Management's manufacturing reading reflecting fears of rising input costs due to tariff policies [5] Group 2: Affected Stocks - Marvell Technology (MRVL) has seen a stock price drop of about 35% since the start of the year, with a solid earnings estimate revision of 3 cents and an expected earnings growth rate of 29.01% [9] - PayPal (PYPL) has tumbled about 20% in the same timeframe, with an earnings estimate revision of 11 cents and an estimated earnings growth rate of 8% [10] - AppLovin Corporation (APP) has lost about 20% of its value in a month, with a positive earnings estimate revision of 73 cents and an expected earnings growth rate of 51.7% [12] - NVIDIA Corporation (NVDA) has dropped approximately 18%, with an earnings estimate revision of 18 cents and an expected earnings growth rate of 46.8% [13] - Lululemon Athletica Inc. (LULU) has lost about 9% in a month, with a positive earnings estimate revision of 4 cents and an expected earnings growth rate of 7.1% [14] Group 3: QQQ ETF Details - QQQ provides exposure to the 101 largest domestic and international non-financial companies listed on the Nasdaq, with 59.5% of assets in information technology and 20.2% in consumer discretionary [7] - QQQ has an AUM of $313.5 billion and an average daily volume of 29 million shares, charging investors 20 basis points in annual fees [8]